Welcome everyone to the 2026 Annual Meeting of Shareholders of GrowGeneration Corp. Darren Lampert, Chief Executive Officer and co-founder of GrowGeneration, will now begin the meeting. Thank you. I call this 2026 annual meeting of the shareholders of GrowGeneration Corp. to order. I'd like to extend a warm welcome to our shareholders, members of the board, and staff who are joining us today, both in person and virtually. After introducing our executive team, external advisors, and director nominees, I will turn the meeting over to our Chief Financial Officer and Corporate Secretary, Greg Sanders. Allow me to introduce the members of our executive team participating in today's meeting. Myself, Darren Lampert, Chief Executive Officer and co-founder. Michael Salaman, our president and my co-founder, and Greg Sanders, our Chief Financial Officer and Corporate Secretary. Our external legal counsels, Mitch Lampert and Anna Wang from the law firm Robinson & Cole, are also on the call. Ms. Wang will act as the inspector of elections for today's meeting. Jeff Hatch from our independent audit firm, BDO, is also with us today. Finally, I will introduce the nominees for election to our board of directors. GrowGeneration is fortunate to have a distinguished group of directors whose biographies are in our proxy statement. Our directors contribute significantly and generously to the development of the company's policies and the oversight of governance and operations. Our director nominees are Eula Adams, Stephen Aiello, Star Carter, Darren Lampert, and Michael Salaman. After the business portion of the meeting has concluded, we will provide time for questions. Only validated shareholders will be able to ask questions in a designated field on the web portal. Out of consideration for others, please limit yourself to one question. Please refer to the rules of conduct and procedures of this meeting posted on the web portal. Please note that this meeting is being recorded. At this time, I'll ask our CFO and Corporate Secretary, Greg Sanders, to present the call of the meeting. Thank you, Darren. I represent that I have the following. One, a copy of the formal notice of meeting stating the meeting's date, time, place, and purpose. Two, an affidavit that the notice of meeting was mailed to each shareholder of record on or about April 28th, 2026. Three, a list of shareholders as of April 20th, 2026, the record date, which has been available for inspection at the company's headquarters during the 10-day period prior to the meeting. The board of directors has appointed Anna Wang from Robinson & Cole to act as the inspector of election. Ms. Wang has submitted her signed oath as inspector, which will be included in the minutes of the meeting. I call upon Ms. Wang as inspector to report whether at least one third of the company's outstanding shares are present at the meeting in proxy or in person. Thank you, Greg. I'm pleased to report that holders of record of 55.03% of the issue and outstanding shares of the company are present in person or by proxy. Thank you, Anna. I declare that the meeting is lawfully and properly convened, that a quorum is present for all purposes of the meeting. As you are aware from the notice of meeting and the proxy statements, the matters to be voted on at today's meeting are as follows. One, to elect five directors to the board of directors of the company to serve until the 2027 annual meeting of shareholders and until their respective successors are elected and qualified. Two, to conduct an advisory vote on the compensation paid to the company's named executive officers. Three, to approve and ratify the amendment and restatement of the company's second Amended and Restated 2018 Equity Incentive Plan. Four, to approve and ratify the appointment of BDO USA, P.C. as the company's independent registered public accounting firm to audit the company's financial statements as of December 31st, 2026, and for the fiscal year then ending. At this time, the polls are officially open. If you have not yet voted or wish to change your vote, please do so now by clicking the voting button in the web portal and following the instructions provided. Shareholders who have sent in proxies or voted via telephone or the internet and do not want to change their vote do not need to take any further action. We will now take a brief pause to allow for voting. Now that everyone has had the opportunity to vote, I hereby declare the polls closed. I now invite Ms. Wang, Inspector of Election, to present the preliminary voting results. Thank you, Greg. The preliminary voting results show as follows. Number one, each of the five director nominees receive a plurality of the votes, which is the vote required to elect the directors. Number two, 14,515,031 of the shares present at the meeting, constituting the majority of the shares counted in voting on this proposal, voted for the approval of the compensation of the company's named executive officers as disclosed in the proxy statement. Number three, 13,652,370 of the shares present at the meeting, constituting the majority of the shares counted in voting on this proposal, voted for the approval and ratification of the company's Second Amended and Restated 2018 Equity Incentive Plan. Number four, 32,361,148 of the shares present at the meeting, constituting the majority of shares counted in voting on this proposal, voted for the approval and ratification of the appointment of BDO USA, P.C. as the company's independent registered public accountants for the fiscal year ending December 31st, 2026. Thank you, Anna. On the basis of the inspector's report, I declare as follows. One, the election of the five directors is hereby approved. Two, the compensation of the company's named executive officers, as disclosed in the proxy statement, is hereby approved. Three, the amendment and restatement to the company's 2018 Equity Incentive Plan is hereby approved. Four, the appointment of BDO as the company's independent registered public accountants for the fiscal year ending December 31st, 2026, is hereby approved. This concludes the formal business of the meeting. Thank you for your attention and continued support of GrowGeneration. Darren will now conclude with the state of the business, and we will take appropriate questions you may have following his presentation. A sincere thank you to our shareholders for your continued support and confidence in GrowGeneration. Over the past several years, we have transformed GrowGeneration into a more focused, efficient, and commercially driven business. While the cultivation industry has experienced significant volatility, we have remained disciplined in executing a strategy centered on profitability, operational excellence, proprietary brands, and long-term value creation. Today, GrowGeneration is positioned differently than it was just a few years ago. We have streamlined our footprint, strengthened our balance sheet, expanded our proprietary brand portfolio, and built a commercial platform designed to serve customers across multiple channels and end markets. Our progress was reflected in our first quarter 2026 results. We delivered our second consecutive quarter of year-over-year revenue growth while continuing to improve profitability and maintain a strong balance sheet. Our commercial business remains at the center of our strategy. Through GrowGen Pro, we continue to expand relationships with commercial cultivators, greenhouse operators, and our multi-state operators throughout North America. These customers increasingly rely on GrowGeneration, not only as a supplier but as a strategic partner capable of delivering products, expertise, and solutions at scale. A key driver of our strategy continues to be the expansion of our proprietary brands. During the first quarter, proprietary brand sales represented 37% of cultivation and gardening revenue, reflecting continued progress towards our long-term objective of increasing the contribution of higher-margin, recurring consumable products across our customer base. Beyond cultivation, we continue to diversify our business and customer reach. Our storage solutions segment delivered strong growth during the quarter as increasingly serving a broader range of industries beyond controlled environment agriculture. This diversification helps strengthen our business model while creating additional avenues for growth. We're also continuing to expand into adjacent horticultural and lawn and garden channels. Through our proprietary brands and distribution partnerships, we are broadening our addressable market while leveraging the same sourcing, logistics, and operational infrastructure that supports our commercial business today. At the same time, we remain highly focused on operational discipline. Over the past several years, we have implemented significant cost reduction initiatives throughout the organization. Those actions have created a leaner operating structure that allows us to generate greater operating leverage as revenue continues to grow. Importantly, we continue to maintain a strong financial foundation. As of March 31st, 2026, we had approximately $41 million in cash equivalents, and marketable securities, and no debt. This balance sheet strength provides flexibility to invest in strategic growth initiatives, pursue attractive opportunities, and return value to shareholders when appropriate. Looking ahead, our priorities remain clear. One, continue expanding our commercial B2B platform and strengthening customer relationships through GrowGen Pro. Two, increasing proprietary brand penetration and expand distribution into new channels and customer segments. Three, drive improved profitability through operating discipline, margin expansion and efficient capital allocation. Four, pursue strategic growth opportunities that complement our existing platform and create long-term shareholder value. While challenges remain within portions of the cultivation industry, we believe GrowGeneration is positioned better than at any point in recent years. We have a strong business model, a broader customer base, a growing portfolio for our proprietary brands, and a balance sheet that provides flexibility and opportunity. As we look towards the future, our focus remains on building a larger, more profitable, and more diversified company that can deliver sustainable growth and long-term value for our shareholders. On behalf of Michael, Greg, our board of directors, and the entire GrowGeneration team, thank you for your continued trust and support. We remain excited about the opportunities ahead and look forward to updating you on our continued progress throughout 2026. Thank you, Darren. Now we will take questions from shareholders. Please note we will attempt to answer as many questions as time allows, but only questions that are relevant to the business of the meeting will be addressed. There are no further questions submitted at this time. Thank you again for your support. We look forward to keeping you updated on our progress throughout the year. Stay well and safe. Our 2026 shareholder meeting is now adjourned. The 2026 annual meeting of shareholders of GrowGeneration Corp is now over. You may now disconnect.
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